Gandhi's Letter to FM: Fix ECHS Crisis, End Tax on Veterans' Disability Pensions

In a pointed critique of government priorities, Congress leader and Lok Sabha Opposition Leader Rahul Gandhi has written to Finance Minister Nirmala Sitharaman, flagging severe lapses in veteran welfare. Dated February 28, the correspondence spotlights the crumbling Ex-Servicemen Contributory Health Scheme (ECHS) and a controversial tax plan on disability pensions.

Once hailed as a lifeline for retired military personnel, ECHS now faces acute financial distress. Pending bills exceed ₹12,000 crore, with allocations lagging 30% behind requirements. Private hospitals are withdrawing services due to non-payments, compelling ex-servicemen to pay out-of-pocket or endure treatment delays—even for terminal illnesses.

Gandhi shared poignant accounts from veterans he met, who expressed deep disillusionment with the very administration they once trusted. Their sense of abandonment is palpable, he noted.

Turning to the Finance Bill 2026, Gandhi decried the unprecedented move to impose income tax on disability pensions for serving personnel—a break from 102-year tradition. These pensions, he emphasized, are relief for service-related injuries, not earnings. Imposing tax on such sacrifices is an insult to their patriotism.

The opposition leader pressed for urgent interventions: settle all ECHS liabilities through enhanced funding and exempt disability pensions from taxation. This, he believes, would reaffirm the nation's gratitude to its defenders, preventing further erosion of morale among the armed forces.